FedEx: US Tariff Policies Driving Foreign Companies to Relocate to Indonesia
JAKARTA — United States tariff policies targeting a number of countries are seen as having an indirect impact on Indonesia.
FedEx Indonesia Managing Director Garrick Thompson said the policies are actually encouraging a number of foreign companies to relocate or expand their operations to Indonesia.
“Indonesia has a good relationship with the US government to secure at least favourable tariff rates for Indonesia,” Thompson said in a virtual session on Friday (20/2/2026).
According to him, this relocation trend is particularly evident among companies previously based in China. “We are also seeing some customers, especially those who previously had businesses in China, shifting and establishing companies in Indonesia. They are seizing the opportunity to position themselves well amid these negotiations,” he said.
He assessed that this phenomenon represents a macro trend influencing the logistics industry landscape over the medium and long term. “This is a macro trend that we see helping to shift conditions in our industry. It is one of the main reasons for the growing importance of companies in Indonesia over the long and medium term,” he explained.
Regarding the direct impact on FedEx shipments to and from the US, Thompson said the tariff policies have not been entirely negative. “We see these tariffs also providing opportunities for businesses to develop their operations and optimise what they currently have. I think there are good opportunities for the industry,” he said.
He cited the garments and textiles sector as one being boosted by the changing tariff dynamics. “In the garments and textiles segment, we see a lot of demand. It is a smart decision if businesses can understand their position to optimise results amid the tariff situation,” Thompson said.
He stressed the importance of businesses understanding the opportunities once new tariff policies are agreed upon.
“The right opportunity for Indonesia is to understand its position after these tariff agreements are finalised, then arrange business operations to take advantage of those opportunities. That will drive export growth,” he explained.
Beyond the US, the European market is also seen as increasingly attractive, particularly with developments in the IEU-CEPA (Indonesia-EU Comprehensive Economic Partnership Agreement) discussions.
“The US is indeed the largest market in Southeast Asia, but Europe also has very good opportunities. We are seeing some customers beginning to shift their focus or expand their markets to Europe, and that is helping to grow their businesses,” he said.
With rising exports to Europe, Thompson said growth in the logistics business is also being driven forward. “There is a trade agreement that has finally been approved with Europe and an increase in exports there. That certainly means there is growth on the logistics business side,” he said.
He explained that FedEx actively helps businesses understand logistics challenges and provides solutions so they can focus on their core business.
This particularly targets small and medium enterprises (SMEs) in Indonesia. “We want to help SMEs understand that if they are already accustomed to selling through domestic e-commerce, then shipping overseas is actually not much different, naturally with regulatory adjustments,” he said.
FedEx is also combining the strength of its global network with a local approach — leveraging FedEx’s global capabilities, international network and tracking technology, then blending them with the local touch of their team in Indonesia. “This combination of global and local is what helps customers unlock their business opportunities,” Thompson explained.
He affirmed that the company’s growth will follow the growth of its customers. “My philosophy is simple: if we help customers solve problems and grow, then FedEx will naturally grow as well,” he said.